LG and Samsung: from rivals to friends?
Several independent leaks monitored in South Korea, however, suggest that Samsung will purchase one million OLED TV panels from its rival and market leader, LG’s subsidiary starting in the second quarter of 2021.
Officials from both companies recently met to finalize the deal that could see up to four million OLED TV panels supplied to Samsung by 2022. While LG has faced some challenges in some areas of its business model, outsourcing and even abandonment in some industries continues to grow in the TV panel industry. Sony, Hisense and Vizio are some of his famous clients.
The growing demand for OLED TV panels has seen its production capacity expand, with up to 8 million units expected to roll out of its factories this year.
The last few years have seen Samsung will reduce the production of its LCD panels for most current televisions; had to maintain sustainability amid the growing popularity of cheaper brands with comparable quality. Additionally, since the South Korean OEM exited the OLED display market a few years ago, it has continued to develop alternative technologies, some of which adorn several recent high-end TV products launched by the South Korean electronics giant. Among these we mention the panels Quantum Dot OLED (QD-OLED) and MicroLED TV, although the prototype TV using QD-OLED technology had low light issues.
Although multiple independent sources have reported on the new deal between Samsung and LG, both companies have yet to confirm the story at this time. Samsung rejected the reports as unfounded. We invite you to take everything with “a pinch of salt”.